Our Review of Interactive Brokers (U.K.) Limited
Interactive Brokers (U.K.) Limited
Barron’s has rated interactive Brokers as one of the best online brokers for several years in a row. Interactive Brokers is one of the largest and most reputed trading houses in the world. They offer low costs and lowest commissions for trades. The trade process is fully automated which helps the company to offer low cost services. Interactive Brokers is preset in 23 countries covering more than 100 markets. The company is known for its superior trading workstations and mobile platforms. Trading platforms are available for stock trading, FX trading and commodities trading. Interactive Brokers also provides a real time margin system to alert traders about current margin requirements.
Interactive Brokers offers direct access to interbank forex quotes. There are no hidden price spreads and no markups. The Interactive Brokers forex account offers transparent low commissions. The accounts show real prices from 13 of the world’s top forex banking institutions. The forex account is hosted on the FXTrader platform, which provides real time streaming quotes, trading volumes, pending trades, executions, current positions and average prices.
Commissions and Spreads
Interactive Brokers offers commissions as low as 0.08 to 0.20 basis points. The spreads are very tight, offering substantial liquidity by combining quotes from multiple sources around the world. Interactive Brokers allows trading of more than 20 currencies.
Interactive Brokers offers the FXTrader, which provides an optimized trading interface. FXTrader provides various tools to trade the FX markets. The tool provides a price display with bid/ask, and displays price movements at a glance. The tool displays increasing prices in green and decreasing prices in orange. FXTrader allows the customer to invert the FX quote, compare and trade side by side with global FX futures. You can review the order details and margin requirements before submitting the order. The tool supports more than 15 order types such as limits, stop limits, immediate and cancels. You can customize the trading cell displays to display average cost, position and P/L data. The platform layout can be customized to a 4x4 grid layout with different color schemes.
Deposits and Withdrawals
You can deposit money into the Interactive Brokers trading account from the Fund Transfers screen within the account settings. After logging into the account, select Fund Transfers and choose Deposit. You can setup or select previously setup bank accounts. Select the source bank account, enter the amount, currency and confirm. Interactive Brokers will ask you to enter the account password again, followed by security codes. After entering the password and security codes, your deposit is confirmed. You can also choose IB to initiate the deposit transaction or request your bank to send money via ACH or Wire Transfer.
You can withdraw cash similarly from the Funds Transfers screen. You need to specify the amount, currency, account password and security codes. Most withdrawals are processed within 3 business days. You can withdraw cash, only after the applicable settlement period for the recent trades.
Interactive Brokers offers a 24-hour customer service to all customers including forex customers. The customer centers are located in America, Asia and Europe. Interactive Brokers also provides a detailed knowledge base on its web site. You can contact experienced customer service agents to answer any questions related to trading, accounts, commissions and margin requirements.
Interactive Brokers provides several reporting options to its customers. The company generates trade reports, daily trading detail reports, weekly reports and quarterly reports. The company also provides the option for customers to generate customized reports anytime. Interactive Brokers also provides annual tax statements.
Standard and Poor’s has rated interactive Brokers with an “A-” rating. The company has been registered with local securities and exchange commissions at various countries. Interactive Brokers has more than $5billion in equity capital, making it one of the most financially stable brokerage houses. Interactive Brokers has won several awards for its quality, technical expertise and customer support. The company won the 2014 Forex Brokerage award from Stocks and Brokerage.
Forex leverage is available to qualified customers. Interactive Brokers allows FX conversions in all account types to convert between currencies without using leverage. Forex leverage allows customers to trade in their FX accounts on a leveraged basis.
The company is not currently running any promotions.